Usage of FinTech app goes up despite risks

ESET today revealed that almost two-thirds (62%) of consumers worldwide use some form of FinTech app or platform. However, only 17% strongly feel that the quality of information available on the potential risks related to the usage of FinTech applications – such as digital wallets, budgeting apps, or e-trading apps – is adequate​.

Ignacio Sbampato, Chief Business Officer at ESET

ESET has explored the topic of FinTech app usage in the consumer segment of its global FinTech research, surveying 10,000 consumers across the UK, US, Australia, Japan and Brazil. The survey explores consumer habits and attitudes toward FinTech applications and their perceived risks, and the responses reveal the level of interest in FinTech platforms from consumers in light of the social changes propelled by COVID-19.

The research reveals that 57% of people are now using online or mobile banking more frequently, and 21% are more interested in managing their finances​. In fact, one in five of 18 to 44-year-olds has started using an exclusively online bank since the introduction of COVID-19 lockdowns, and one in ten consumers has started using FinTech platforms for the first time.

While levels of confidence regarding information on potential risks is low, confidence in the apps and platforms themselves is fairly high, with 58% of people feeling secure about their accounts and money when using digital wallet applications. When it comes to budgeting and trading apps, users’ feelings of security were slightly lower, at 50% and 48%, respectively. Seventy-seven percent of FinTech users also agreed that, compared to traditional online banking applications, their FinTech apps are easier to use and offer a better user experience. Yet, when respondents were asked where they seek information about new financial services and technologies used to manage finances, an “online search engine such as Google” proved the most popular answer.

Although not as widespread as mainstream FinTech solutions, interest in cryptocurrency is also steadily increasing among the “tech savvy,” with 30% of consumers who scored themselves as “advanced” in tech proficiency investing in them.

Commenting on the results, Ignacio Sbampato, Chief Business Officer at ESET, said, “The COVID-19 pandemic has forced much of our lives into the digital sphere, and it is no surprise that consumers are gravitating toward new technologies to manage their finances. However, our survey results demonstrate that, while consumers are embracing FinTech solutions, technology companies must work to prevent an overconfidence in platforms that may be susceptible to risks and cyberthreats, and ensure that consumers are educated and informed about their financial decisions. ESET is passionate about providing a safe and secure technology experience for all users, and our FinTech research is instrumental to understanding consumers’ habits in the here and now.”